London Daily

Focus on the big picture.
Wednesday, Jul 15, 2026

Apple's App Store draws developer ire and legal challenge

Apple's App Store draws developer ire and legal challenge

While Apple chief Tim Cook touts the brand's App Store as an economic miracle, Fortnite-maker Epic Games says developers suffer under its tyranny.
The online shop -- the only way software apps can get onto iPhones or other Apple mobile devices -- is at the heart of a trial opening Monday in a federal court across the bay from San Francisco.

Apple opened its App Store in July 2008, a year after the release of the first iPhone.

The shop, stocked with mobile apps tailored for devices powered by iOS mobile software, was quickly imitated by rival smartphone makers.

It ignited an entire economy where developers big or small could make money with "an app for that," from games or social networking to summoning car rides or ordering food.

Apps are only allowed onto Apple mobile devices through the App Store, which requires them to abide by rules for privacy and security.

The App Store -- the lone gateway onto the more than one billion iPhones in use around the world -- has grown to include more than 1.8 million apps.

Hundreds of billions of dollars in transactions take place at the App Store each year in what Apple chief Cook has called an "economic miracle."

Apple takes a commission of as much as 30% of financial transactions at the App Store, where most apps can be downloaded for free.

In January, Apple reduced its commission to 15% for newcomers and developers making less than a million dollars annually.

Apple had already cut its 30% commission in half in the case of paid subscriptions after the first year.

Some services such as music-streamer Spotify have tried to coax aspiring subscribers to avoid using the App Store. While popular services such as Netflix can rely on people doing business at their own websites, small developers lack that kind of draw.

Amazon was a rare exception, negotiating a special deal at the App Store for subscriptions to its Prime streaming television service.

Epic Games was booted from the App Store last year after it triggered an update in its Fortnite game that bypassed the Apple payment system that collects commissions.

Epic filed a lawsuit in US federal court against Apple, accusing the iPhone maker of monopolistic behavior due to its tight control of the App Store and collection of a "tax."

Apple countered that the commission reflects industry norms and amounts to fair compensation for providing a secure online shop that spans the world.

Epic and other app makers accuse Apple of tyrannically enforcing App Store rules to the Cupertino-based company's benefit.

Spotify has argued that Apple gives its own music service advantage in the shop.

On Friday, the European Union formally accused Apple of using the App Store to unfairly squeeze out music-streaming rivals in one of the biggest-ever competition cases to hit the iPhone maker.

The charge sheet lands as Apple faces a rebellion from firms that want to break free of its store's strict terms and fees, while authorities in the US, Russia, Britain and South Korea are also circling the world's biggest company.

Facebook is among the App Store critics, saying new rules, which block the tracking of users' online activity for ad targeting without express permission, is an abuse of its power.

Google runs an app shop for Android-powered mobile devices, and collects commissions, but it also lets device users get apps elsewhere.
Newsletter

Related Articles

0:00
0:00
Close
Forget Tinder: The Surprising Platform Where People Find Love
Harvard Astrophysicist to Lead U.S. Scientific Advisory on Unidentified Aerial Phenomena
On the Island That Did Not Yield to Trump, There Is No Electricity, and 10 Million Live in Darkness
Emergency Sirens Activated Across Bahrain as Interior Ministry Issues Shelter Directives
Key Trends to Watch
United Nations Expert Calls for Full Implementation of Supreme Court Ruling on Legal Definition of Sex
Industry Coalition Urges Labour Lawmakers to Back Continued North Sea Oil and Gas Production
Parliamentary Committee Calls for Tougher Restrictions on Unhealthy Food Advertising
Government Expands Awaab's Law to Cover Heat and Additional Housing Hazards
Energy Regulator Opens Independent Investigation Into National Grid Operator
United Kingdom and European Union Sign Landmark Gibraltar Border Agreement
Chancellor Unveils Financial Services Reform and Artificial Intelligence Strategy at Mansion House
Counterterrorism Police Take Over Investigation Into Killing of Former Minister Ann Widdecombe
Beer Industry Warns UK Rules Could Limit Growth of Alcohol-Free Market
Home Office Faces Legal Challenges Over Asylum Seeker Accommodation Closures
UK Heatwaves Linked to More Than Two Thousand Seven Hundred Deaths as Climate Debate Intensifies
Home Secretary Faces Pressure Over Political Security After Ann Widdecombe Murder Investigation
United Kingdom Opens Trade Consultation With Indonesia, Philippines, United Arab Emirates and Uruguay
Robert Jenrick Joins Reform UK After Leaving Conservative Party Leadership Role
Counter-Terrorism Police Take Over Investigation into Murder of Former MP Ann Widdecombe
Andy Burnham Secures Strong Labour Backing in Race to Succeed Keir Starmer
Global Markets Slide as Middle East Conflict Escalation Sends Oil Prices Higher
UK Prime Minister Keir Starmer Offers Condolences Following Death of Qatar’s Father Amir
UK Regional Innovation Policy Focuses on Research Clusters Across Scotland, Wales, and Northern England
UK Corporate Transparency Rules Set to Become More Strict Under Modern Slavery Reform Plans
UK Civil Service Estate Strategy Shifts Government Activity Away From London
UK Strengthens National Security Powers Through New Threat Designations
Greater Manchester Police Conduct Drink and Drug Driving Operations After Football Events
UK Government Advances Darlington Economic Campus With Construction Milestone
UK Authorities Increase Football-Related Security Operations After Tournament Fixtures
UK Invests Fifty-One Million Pounds in National Cryogenics Facility and Regional Innovation Hubs
UK Moves Toward Tougher Modern Slavery Reporting Rules With Corporate Penalties
UK Government Reports Forty-Three Million Pounds in Savings From Office Estate Reform
UK Government Expands Civil Service Regional Strategy With Manchester and Darlington Campus Projects
UK Designates Iran’s Islamic Revolutionary Guard Corps as National Security Threat
United Kingdom Financial Markets Monitor Business Response to Economic Policy Changes
Scottish Renewable Energy Expansion Highlights Need for Faster Grid Development
Wales and Regions Strengthen Focus on Economic Development Through Tourism and Investment
Retail Industry Warns High Street Businesses Remain Under Pressure
Police Chiefs Highlight Growing Challenges Managing Protests and Public Order
Agriculture Leaders Seek Clarity on Post-Brexit Farming Support and Environmental Rules
Transport Unions Warn of Further Industrial Action Over Pay and Working Conditions
Welsh Tourism Sector Reports Strong Growth Driven by Domestic and International Visitors
National Infrastructure Review Gains Support as Leaders Seek Faster Project Delivery
Financial Markets Assess Impact of United Kingdom Corporate Tax Policy Changes
Northern Ireland Assembly Debates Cross-Border Trade and Infrastructure Cooperation Plans
Government Opens Consultations on Housing Reform and Planning System Changes
Scottish Government Faces Pressure to Accelerate Offshore Wind and Grid Expansion
National Energy System Operator Warns Grid Investment Is Needed for Future Electricity Demand Growth
United Kingdom Research Council Invests in Artificial Intelligence and Biotechnology Innovation Hubs
×